September 30, 2000
annual
report
Calvert capital
accumulation fund
<PAGE>
Table
of
Contents
President's Letter
1
Social Update
2
Portfolio
Manager Remarks
3
Report of Independent Public Accountants
6
Statement
of Net Assets
7
Statement
of Operations
10
Statements
of Changes in
Net Assets
11
Notes to
Financial Statements
13
Financial Highlights
17
Dear Shareholders:
While near-term volatility in equity and bond markets has set a tone of
challenge for investors and fund managers this past year, caution and discipline
remain a keynote of our manager's investment strategies. We are confident that
these will bring their own reward in the long term.
The state of the US economy seems to indicate that we have reason to be
optimistic despite recently falling market indices. For the time being, the
specter of inflation appears to be nothing more than that, and the underlying
economic fundamentals are solid. Indeed, the Fed, which left rates unchanged at
its last meeting, believes that inflation remains under control. Somewhat slower
economic growth will continue to keep prices in check - and there have been
indications of cooling in most traditional sectors of the economy. Therefore,
economic growth is expected to slow in the coming months and year.
Growth in the US economy coupled with price stability will continue to influence
the price and yield of Government bonds. Rising oil prices, temporarily curbed
by the recent decision to release 30m barrels from our Strategic Petroleum
Reserve, would almost certainly push up bond yields.
Also, the decision made by the US, Europe, and Japan to shore up the Euro could
have domestic consequences. While a weaker dollar could mean stronger balance
sheets for multinational companies, the stream of money from Europe into the US
economy could be reversed, adversely affecting equity and corporate bond prices.
Time will tell how events will play out. For the reasonable investor, discipline
and the need to make informed decisions are as important as ever before. As
always, we encourage you to make decisions based on your financial obligations
and tolerance for risk. Your financial professional can suggest strategies that
can keep you on track to meet your objectives.
We appreciate your investment in Calvert Group funds and look forward to working
with you to achieve your financial goals.
Sincerely,
Barbara J. Krumsiek
President and CEO
October 30, 2000
<PAGE>
Social
Update
The Calvert Social Index
As a leader in socially responsible investing we have for some time recognized
the market's need for a passively constructed Index of social companies. In
May, we created the Calvert Social Index , a broad-based, rigorously constructed
benchmark for measuring the performance of the largest of those U.S.-based
companies that meet our social criteria. Now, the real time performance of the
Index is being distributed through the Chicago Board of Trade and is available
through news agencies, financial services companies and brokerage firms.
The Calvert Social Index scrutinizes each of the 1,000 largest companies in the
U.S., representing stocks listed on the NYSE and NASDAQ-AMEX. The Index includes
companies that stand out positively in their environmental policies, actively
hire and promote minorities and women, provide a safe and healthy workplace, and
produce safe and healthy products. By giving the public a closer look at the
social practices of the Index companies, we are providing guidelines and helping
companies strive toward a higher level of social responsibility. To obtain
details on the Calvert Social Index go to www.calvert.com.
www.calvert.com Chosen Among the "Top 20 Best in Mutual Funds" Industry
Our web site has been chosen as one of this year's "Top 20 Web Sites Among
Mutual Funds," according to a study conducted by kasina, LLC, a New York
e-business consulting firm. The study evaluated over 421 mutual fund company Web
sites, noting that "[t]he high point of [Calvert's] site is the Know What You
Own search feature, which allows investors to see the top holdings of a
selected fund and to see their characteristics in terms of ethics and good
corporate citizenship. This is a unique feature not found on any other Web
site." Other notable interactive features that placed us among the top include
the Advisor Finder Service, the Socially Responsible Company Profiles in the
Calvert Social Index, and a SRI Timeline.
Proxy Analysis and Voting Intentions
We will make public our proxy analysis and voting intentions for Social Index
companies. We will review each Index company's individual proxy and publish the
Index's position on issues relating to its social criteria, along with the
rationale, on our Web site, www.calvert.com, beginning in the 2001 proxy season.
<PAGE>
Ed Brown
of Brown Capital Management Company
How did the Fund perform against its benchmark?
For the year ended September 30, 2000, the Calvert Capital Accumulation Fund's
Class A shares returned 42.91%, slightly underperforming the S&P Midcap 400
Index at 43.22%. The modest under-performance can be attributed to the
Portfolio's composition in which we were underweighted in the Utilities and
Energy sectors. Our bottoms-up process, which seeks to identify companies with
solid prospective revenue and earnings growth, led to the underweight position
in those two sectors.
How was Fund performance influenced by market and economic events?
The U.S. stock market recorded an above average annual total return,
particularly in mid caps. The economic backdrop was generally favorable,
highlighted by very strong economic growth and a decline in the five year
Treasury yield, which occurred after rates peaked in January 2000. Sectors
responsible for fueling the significant increase in mid cap stocks included
Technology, Health Care, Utilities, and Energy.
When discussing market concerns, investment strategists seem to point to what is
widely known now as the four E's - the election, energy, Euro, and earnings.
With respect to the election, we believe that the outcome and its impact on the
markets, while interesting, is largely psychological. As long as monetary
policy remains focused on sustaining growth and controlling inflation,
Portfolio Statistics
September 30, 2000
Investment Performance
6 Months 12 Months
ended ended
9/30/00 9/30/00
Class A 16.40% 42.91%
Class B 15.99% 41.84%
Class C 16.02% 41.91%
Class I 16.84% 44.25%
S&P Midcap 400
Index TR 8.45% 43.22%
Lipper Mid-Cap Growth
Funds Average (3.43%) 63.86%
Ten Largest Stock Holdings
% of Net Assets
Guidant Corp. 3.2%
USA Education, Inc. 3.2%
AFLAC, Inc. 2.9%
Biomet, Inc. 2.9%
Kohls Corp. 2.8%
Catalina Marketing Corp. 2.8%
Altera Corp. 2.8%
Sanmina Corp. 2.7%
Health Management
Associates, Inc. 2.7%
BISYS Group, Inc. 2.7%
Total 28.7%
Asset Allocation
Stocks 97%
Cash or Cash Equivalents 3%
Total 100%
Investment performance does not reflect the deduction of any front-end or
deferred sales charge. TR represents total return.
Source: Lipper Analytical Services, Inc.
<PAGE>
market prospects should remain sanguine. The other E's, however, are much more
meaningful.
Energy prices, as measured by crude oil prices per barrel, increased to almost
$38 per barrel, whereas just two years ago, crude oil was only $11 per barrel.
Add to that the fuel consumption and transportation costs incurred by other
companies that sell goods and services, and fuel costs understandably rose
significantly. Sustained increases in energy prices, therefore, could clearly
have a negative impact on our economy.
When the Euro began trading in January 1999, its value approached $1.20. Most
recently, trading at about $0.87, the Euro's weakness has been a part of the
reason why the final E, earnings, seems to be of greater concern to the
marketplace. When large multinationals consolidate their European subsidiaries,
the weaker Euro means less U.S. dollar-denominated revenue and earnings. For
European consumers, it means less purchasing power for U.S.-exported goods and
services.
Portfolio Statistics
September 30, 2000
Average Annual Total Returns
Class A Shares
One year 36.14%
Five year 16.02%
Since inception 20.51%
(10/31/94)
Class B Shares
One year 36.84%
Since inception 14.31%
(4/1/98)
Class C Shares
One year 40.91%
Five year 16.05%
Since inception 20.57%
(10/31/94)
Class I Shares
One year 44.25%
Since inception 25.74%
(3/1/99)
Performance Comparison
Comparison of change in value of $10,000 investment. (Source: Lipper Analytical
Services, Inc.)
[INSERT LINE GRAPH HERE]
Total returns assume reinvestment of dividends and reflect the deduction of the
Fund's maximum front-end or deferred sales charge. No sales charge has been
applied to the index used for comparison. The value of an investment in Class A
& C shares is plotted in the line graph. The value of an investment in another
class of shares would be different. Past performance is no guarantee of future
results.
<PAGE>
What is your general outlook for equity markets?
In spite of these four E's, we still expect this economic expansion, now the
longest sustained expansion in the last 100 years, to continue. Should the
expansion hold, the U.S. will be well into its tenth year of uninterrupted
economic growth. We expect the stock market to continue its growth-only at more
modest return levels when compared to the past several years. A 10-12% return
in stocks and a 5-6% return in bonds, in line with historical averages, is
realistic.
October 30, 2000
Portfolio Statistics
September 30, 2000
Portfolio Characteristics
Capital S&P
Accumulation Midcap 400
Fund index
Number of Stocks 46 400
Median Market
Capitalization ($bil) 7.4 3.3
(by portfolio weight)
Price/Earnings
Ratio 35.85 26.60
Earnings Per Share
Growth 25.15% 19.56%
Yield 0.28% 1.00%
(return on capital investment)
Volatility Measures
Capital S&P
Accumulation Midcap 400
Fund index
Beta1 0.93 0.75
R-Squared2 0.60 0.49
1Measure of volatility compared to the S&P 500 Stock Index (S&P 500) beta of 1.
The higher the beta, the higher the risk and potential reward.
2Measure of correlation between the Fund's returns and the overall market's (S&P
500) returns. An R-Squared of 0 would mean no correlation; an R-Squared of 1
would mean total correlation.
Source: Vestek
<PAGE>
Report of Independent Public Accountants
To the Board of Directors of Calvert World Values Fund, Inc. and Shareholders of
Calvert Capital Accumulation Fund:
We have audited the accompanying statement of net assets of Calvert Capital
Accumulation Fund, (one of the portfolios comprising The Calvert World Values
Fund, hereafter referred to as the "Fund"), as of September 30, 2000, and the
related statement of operations, the statement of changes in net assets, and the
financial highlights for the year then ended. These financial statements and
financial highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audit. The statement of changes in net assets
for the year ended September 30, 1999, and the financial highlights for each of
the four years in the period ended September 30, 1999 of the Fund, were audited
by other auditors, whose report dated November 10, 1999, expressed an
unqualified opinion on those statements.
We conducted our audit in accordance with auditing standards generally accepted
in the United States. Those standards require that we plan and perform the audit
to obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements and financial highlights. Our procedures included
confirmation of securities owned as of September 30, 2000, by correspondence
with the custodian, the broker, and application of alternative procedures with
respect to unsettled securities transactions. An audit also includes assessing
the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe that
our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Calvert Capital Accumulation Fund as of September 30, 2000, the results of its
operations, the changes in its net assets, and the financial highlights for the
year then ended, in conformity with accounting principles generally accepted in
the United States.
ARTHUR ANDERSEN LLP
Philadelphia, Pennsylvania
November 15, 2000
<PAGE>
Statement of Net Assets
September 30, 2000
Equity Securities - 97.0% Shares Value
Air Freight - 1.2%
Fritz Co.'s, Inc.* 172,700 $2,072,400
Communications Equipment - 1.7%
ADC Telecommunications, Inc.* 110,200 2,963,347
Computers - Software & Services - 10.1%
Advent Software, Inc.* 39,200 2,739,100
Amdocs, Ltd.* 34,900 2,176,887
Compuware Corp.* 394,300 3,302,263
Network Associates, Inc.* 121,200 2,742,150
Rational Software Corp.* 56,800 3,940,500
Transaction Systems Architects, Inc.* 156,400 2,541,500
17,442,400
Distributors - Food & Health - 2.6%
Cardinal Health, Inc. 51,325 4,526,223
Electrical Equipment - 7.1%
Flextronics International Ltd.* 39,700 3,260,362
Sanmina Corp.* 50,200 4,699,975
Solectron Corp.* 93,300 4,303,463
12,263,800
Electronics - Semiconductors - 9.4%
Altera Corp.* 100,000 4,775,000
Atmel Corp.* 199,300 3,026,869
Conexant Systems, Inc.* 67,229 2,815,214
Vitesse Semiconductor Corp.* 36,500 3,246,219
Xilinx, Inc.* 26,500 2,269,062
16,132,364
Financial - Diversified - 3.2%
USA Education, Inc. 113,900 5,488,556
Healthcare - Hospital Management - 2.7%
Health Management Associates, Inc.* 224,600 4,674,488
Healthcare - Medical Products & Supplies - 7.5%
ALZA Corp.* 28,200 2,439,300
Biomet, Inc. 140,500 4,917,500
Guidant Corp.* 78,236 5,530,307
12,887,107
Healthcare - Special Services - 3.8%
Covance, Inc.* 236,900 1,939,619
Omnicare, Inc. 167,500 2,700,937
Quintiles Transnational Corp.* 122,100 1,945,969
6,586,525
<PAGE>
Equity Securities - Cont'd Shares Value
Housewares - 2.4%
Newell Rubbermaid, Inc. 181,400 $4,138,188
Insurance - Life & Health - 2.9%
AFLAC, Inc. 79,000 5,060,938
Investment Banking/Brokers - 2.5%
Legg Mason, Inc. 74,400 4,324,500
Investment Management - 4.8%
Franklin Resources, Inc. 89,965 3,997,145
T. Rowe Price Associates 88,900 4,172,744
8,169,889
Leisure Time Products - 1.7%
Harley-Davidson, Inc. 61,700 2,953,887
Manufacturing - Specialized - 2.3%
Jabil Circuit, Inc.* 68,900 3,910,075
Oil & Gas - Drilling & Equipment - 2.0%
Smith International, Inc.* 42,700 3,482,719
Power Producers - Independent - 1.8%
AES Corp.* 44,400 3,041,400
Retail - Building Supplies - 2.4%
Fastenal Co. 70,100 4,039,512
Retail - Department Stores - 2.8%
Kohls Corp.* 84,500 4,874,594
Retail - Discounters - 4.3%
Dollar General Corp. 200,595 3,359,966
Dollar Tree Stores, Inc.* 99,050 4,017,716
7,377,682
Retail - Specialty - 1.0%
Staples, Inc.* 116,500 1,652,844
Services - Advertising & Marketing - 4.9%
Acxiom Corp.* 112,300 3,565,525
Catalina Marketing Corp.* 128,000 4,816,000
8,381,525
Services - Data Process - 7.3%
BISYS Group, Inc.* 58,700 4,538,244
Fiserv, Inc.* 62,150 3,721,231
Paychex, Inc. 80,875 4,245,937
12,505,412
Services - Employment - 2.3%
Robert Half International, Inc.* 114,100 3,957,844
<PAGE>
Equity Securities - Cont'd Shares Value
Telephone - 2.3%
CenturyTel, Inc. 144,000 $3,924,000
Total Equity Securities (Cost $131,250,644) 166,832,219
Principal
Repurchase Agreements - 5.0% Amount
State Street, 6.50%, dated 9/29/00, due 10/2/00
(Collateral: $8,740,000 FHLB 6.75%, 2/1/02) $8,600,000 8,600,000
Total Repurchase Agreements (Cost $8,600,000) 8,600,000
Variable Rate Demand Notes - 0.6%
R.M. Greene, Inc., 6.60%, 5/1/30 1,000,000 1,000,000
Total Variable Rate Demand Notes (Cost $1,000,000) 1,000,000
Total Investments (Cost $140,850,644) - 102.6% 176,432,219
Other assets and liabilities, net - (2.6%) (4,480,382)
Net Assets - 100% $171,951,837
Net Assets Consist of:
Paid-in capital applicable to the following shares of common stock,
250,000,000 shares of $0.01 par value authorized for Class A,
Class B, Class C and Class I combined:
Class A: 3,898,102 shares outstanding $90,933,593
Class B: 463,378 shares outstanding 12,967,253
Class C: 399,355 shares outstanding 9,620,787
Class I: 2,943 shares outstanding (946,859)
Accumulated net realized gain (loss) on investments 23,795,488
Net unrealized appreciation (depreciation) on investments 35,581,575
Net Assets $171,951,837
Net Asset Value Per Share
Class A (based on net assets of $141,638,873) $36.34
Class B (based on net assets of $16,435,106) $35.47
Class C (based on net assets of $13,769,406) $34.48
Class I (based on net assets of $108,452) $36.84
* Non income producing.
Abbreviations:
FHLB: Federal Home Loan Bank
See notes to financial statements.
<PAGE>
Statement of Operations
Year Ended September 30, 2000
Net Investment Income
Investment Income:
Dividend income $469,315
Interest income 132,561
Total investment income 601,876
Expenses:
Investment advisory fee 933,501
Transfer agency fees and expenses 459,546
Distribution Plan expenses:
Class A 410,308
Class B 124,175
Class C 110,011
Directors' fees and expenses 22,575
Administrative fees 354,590
Custodian fees 28,406
Registration fees 39,906
Reports to shareholders 54,953
Professional fees 18,663
Miscellaneous 16,265
Total expenses 2,572,899
Reimbursement from Advisor:
Class I (10,156)
Fees paid indirectly (191,926)
Net expenses 2,370,817
Net Investment Income (Loss) (1,768,941)
Realized and Unrealized Gain (Loss) on Investments
Net realized gain (loss) 26,901,810
Change in unrealized appreciation or (depreciation) 26,119,068
Net Realized and Unrealized Gain
(Loss) on Investments 53,020,878
Increase (Decrease) in Net Assets
Resulting From Operations $51,251,937
See notes to financial statements.
<PAGE>
Statements of Changes in Net Assets
Year Ended Year Ended
September 30, September 30,
Increase (Decrease) in Net Assets 2000 1999
Operations:
Net investment income (loss) ($1,768,941) ($1,612,851)
Net realized gain (loss) 26,901,810 1,270,247
Change in unrealized appreciation
or (depreciation) 26,119,068 11,231,435
Increase (Decrease) in Net Assets
Resulting From Operations 51,251,937 10,888,831
Distributions to shareholders from
Net realized gain:
Class A Shares (1,975,944) (10,557,812)
Class B Shares (198,177) (596,624)
Class C Shares (189,403) (970,417)
Class I Shares (52,081) -
Total distributions (2,415,605) (12,124,853)
Capital share transactions:
Shares sold:
Class A Shares 27,659,971 47,089,845
Class B Shares 4,313,448 6,983,555
Class C Shares 3,447,525 4,076,502
Class I Shares 723,771 2,940,985
Reinvestment of distributions:
Class A Shares 1,871,628 10,000,529
Class B Shares 180,280 532,729
Class C Shares 166,227 903,502
Class I Shares 52,080 -
Shares redeemed:
Class A Shares (30,374,363) (29,009,734)
Class B Shares (1,664,171) (926,168)
Class C Shares (2,524,971) (2,363,013)
Class I Shares (4,256,484) (399,031)
Total capital share transactions (405,059) 39,829,701
Total Increase (Decrease) in Net Assets 48,431,273 38,593,679
Net Assets
Beginning of year 123,520,564 84,926,885
End of year $171,951,837 $123,520,564
See notes to financial statements.
<PAGE>
Statements of Changes in Net Assets
Year Ended Year Ended
September 30, September 30,
Capital Share Activity 2000 1999
Shares sold:
Class A Shares 893,265 1,692,297
Class B Shares 143,638 253,225
Class C Shares 118,272 152,204
Class I Shares 23,299 112,142
Reinvestment of distributions:
Class A Shares 65,145 371,631
Class B Shares 6,392 19,988
Class C Shares 6,062 34,884
Class I Shares 1,801 -
Shares redeemed:
Class A Shares (1,021,910) (1,054,042)
Class B Shares (57,603) (33,240)
Class C Shares (89,392) (88,528)
Class I Shares (120,147) (14,152)
Total capital share activity (31,178) 1,446,409
See notes to financial statements.
<PAGE>
Notes to Financial Statements
Note A - Significant Accounting Policies
General: The Calvert Capital Accumulation Fund (the "Fund"), a series of
Calvert World Values Fund, Inc., is registered under the Investment Company Act
of 1940 as a non-diversified, open-end management investment company. The
operation of each series is accounted for separately. The Fund offers four
classes of shares of capital stock. Class A shares are sold with a maximum
front-end sales charge of 4.75%. Class B shares are sold without a front-end
sales charge. With certain exceptions, the Fund will impose a deferred sales
charge at the time of redemption, depending on how long you have owned the
shares. Class C shares are sold without a front-end sales charge. With certain
exceptions, the Fund will impose a deferred sales charge on shares sold within
one year of purchase. Class B and Class C shares have higher levels of expenses
than Class A shares. Class I shares require a minimum account balance of
$1,000,000. Class I shares have no front-end or deferred sales charge. Each
class has different: (a) dividend rates, due to differences in Distribution Plan
expenses and other class-specific expenses, (b) exchange privileges; and (c)
class-specific voting rights.
Security Valuation: Securities listed or traded on a national securities
exchange are valued at the last reported sale price. Unlisted securities and
listed securities for which the last sale price is unavailable are valued
at the most recent bid price or based on a yield equivalent obtained from the
securities' market maker. Other securities and assets for which market
quotations are not available or deemed inappropriate are valued in good faith
under the direction of the Board of Directors.
Repurchase Agreements: The Fund may enter into repurchase agreements with
recognized financial institutions or registered broker/dealers and, in all
instances, holds underlying securities with a value exceeding the total
repurchase price, including accrued interest. Although risk is mitigated by the
collateral, the Fund could experience a delay in recovering its value and a
possible loss of income or value if the counterparty fails to perform in
accordance with the terms of the agreement.
Futures Contracts: The Fund may enter into futures contracts, agreeing to buy
or sell a financial instrument for a set price at a future date. The Fund
maintains securities with a value equal to its obligation under each contract.
Initial margin deposits of either cash or securities are made upon entering into
futures contracts; thereafter, variation margin payments are made or received
daily reflecting the change in market value. Unrealized or realized gains and
losses are recognized based on the change in market value. Risks of futures
contracts arise from the possible illiquidity of the futures markets and the
movement in the value of the investment or in interest rates.
Security Transactions and Investment Income: Security transactions are
accounted for on trade date. Realized gains and losses are recorded on an
identified cost basis. Dividend income is recorded on the ex-dividend date.
Interest income, accretion of discount and amortization of premium are recorded
on an accrual basis. Investment income and realized and unrealized gains and
losses are allocated to separate classes of shares based upon the relative net
assets of each class. Expenses arising in connection with a class are charged
directly to that class. Expenses common to the classes are allocated to each
class
<PAGE>
in proportion to their relative net assets.
Distributions to Shareholders: Distributions to shareholders are recorded by
the Fund on ex-dividend date. Dividends from net investment income and
distributions from
net realized capital gains, if any, are paid at least annually. Distributions
are determined in accordance with income tax regulations which may differ
from generally accepted accounting principles; accordingly, periodic
reclassifications are made within the Fund's capital accounts to reflect
income and gains available for distribution under income tax regulations.
Estimates: The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the reporting
period. Actual results could differ from those estimates.
Expense Offset Arrangements: The Fund has an arrangement with its custodian
bank whereby the custodian's and transfer agent's fees may be paid indirectly by
credits earned on the Fund's cash on deposit with the bank. Such a deposit
arrangement is an alternative to overnight investments.
Federal Income Taxes: No provision for federal income or excise tax is required
since the Fund intends to qualify as a regulated investment company under the
Internal Revenue Code and to distribute substantially all of its taxable
earnings.
Note B - Related Party Transactions
Calvert Asset Management Company, Inc. (the "Advisor") is wholly-owned by
Calvert Group, Ltd. ("Calvert"), which is indirectly wholly owned by Ameritas
Acacia Mutual Holding Company. The Advisor provides investment advisory services
and pays the salaries and fees of officers and affiliated Directors of the Fund.
For its services, the Advisor receives a monthly fee based on an annual rate of
.65% of the Fund's average daily net assets. Under the terms of the agreement,
$123,975 was payable at year end.
The Advisor contractually reimbursed the Fund for expenses of $10,156 for the
year ended September 30, 2000.
Calvert Administrative Services Company, an affiliate of the Advisor, provides
administrative services to the Fund for an annual fee, payable monthly of .25%
for Class A, Class B and Class C and .10% for Class I shares based on their
average daily net assets. Under the terms of the agreement, $35,195 was payable
at year end.
Calvert Distributors, Inc., an affiliate of the Advisor, is the distributor and
principal underwriter for the Fund. Distribution Plans, adopted by Class A,
Class B and Class C shares, allow the Fund to pay the Distributor for expenses
and services associated with distribution of shares. The expenses paid may not
exceed .35%, 1.00% and 1.00% annually of average daily net assets of each Class
A, Class B and Class C, respectively. Class I Shares do not have Distribution
Plan expenses. Under the terms of the agreement, $64,813 was payable at
year end.
<PAGE>
The Distributor received $73,252 as its portion of the commissions charged on
sales of the Fund's shares for the year ended September 30, 2000.
Calvert Shareholder Services, Inc. ("CSSI"), an affiliate of the Advisor, acts
as shareholder servicing agent for the Fund. For its services, CSSI received a
fee of $135,990 for the year ended September 30, 2000. Under the terms of the
agreement, $10,684 was payable at year end. National Financial Data Services,
Inc., is the transfer and dividend disbursing agent.
Each Director of the Fund who is not affiliated with the Advisor receives an
annual fee of $4,000 plus $1,000 for each Board and Committee meeting attended.
Directors' fees are allocated to each of the funds in the series that are
served.
Note C - Investment Activity
During the year, purchases and sales of investments, other than short-term
securities, were $161,005,869 and $159,114,084, respectively.
The cost of investments owned at September 30, 2000 was substantially the same
for federal income tax and financial reporting purposes. Net unrealized
appreciation aggregated $35,581,575, of which $40,516,784 related to
appreciated securities and $4,935,209 related to depreciated securities.
Note D - Line of Credit
A financing agreement is in place with all Calvert Group Funds (except for the
Calvert Social Investment Fund Managed Index, CVS Ameritas Index 500 and Calvert
Social Index Fund) and State Street Bank and Trust Company ("the Bank"). Under
the agreement, the Bank is providing an unsecured line of credit facility, in
the aggregate amount of $50 million ($25 million committed and $25 million
uncommitted), to be accessed by the Funds for temporary or emergency purposes
only. Borrowings under this facility bear interest at the overnight Federal
Funds Rate plus .50% per annum. A commitment fee of .10% per annum will be
incurred on the unused portion of the committed facility which will be allocated
to all participating funds. The Fund had no loans outstanding pursuant to this
line of credit at September 30, 2000.
Change in Independent Auditor
In September 2000, PricewaterhouseCoopers LLP (PricewaterhouseCoopers) resigned
in the normal course of business as independent auditor for the Calvert Group
Funds. Arthur Andersen LLP (Arthur Andersen) was selected as the Fund's
independent auditor. The Funds' selection of Arthur Andersen as its independent
auditor was recommended by the Fund's audit committee and was approved by the
Fund's Board of Directors.
The reports on the financial statements audited by PricewaterhouseCoopers for
the years ended September 30, 1999 and prior for the Funds did not contain an
adverse opinion or a disclaimer of opinion, and were not qualified or modified
as to uncertainty, audit scope or accounting principles. There were no
disagreements between the Funds and PricewaterhouseCoopers on any matter of
accounting principles or practices, financial
<PAGE>
statement disclosure, or auditing scope or procedures, which disagreements, if
not resolved to the satisfaction of PricewaterhouseCoopers would have caused it
to make reference to the subject matter of the disagreements in connection with
its reports on the financial statements of such years.
Tax Information (Unaudited)
The Fund designates $2,415,605 as 20% capital gain dividends paid during the
taxable year ended September 30, 2000.
<PAGE>
Financial Highlights
Years Ended
September 30, September 30,
Class A Shares 2000 1999
Net asset value, beginning $25.88 $25.43
Income from investment operations
Net investment income (loss) (.32) (.32)
Net realized and unrealized gain (loss) 11.29 4.25
Total from investment operations 10.97 3.93
Distributions from
Net realized gain (0.51) (3.48)
Total distributions (0.51) (3.48)
Total increase (decrease) in net asset value 10.46 .45
Net asset value, ending $36.34 $25.88
Total return* 42.91% 14.91%
Ratios to average net assets:
Net investment income (loss) (1.12%) (1.26%)
Total expenses 1.67% 1.73%
Expenses before offsets 1.67% 1.73%
Net expenses 1.54% 1.58%
Portfolio turnover 116% 88%
Net assets, ending (in thousands) $141,639 $102,508
Years Ended
September 30, September 30, September 30,
Class A Shares 1998 1997 1996
Net asset value, beginning $27.21 $22.55 $21.48
Income from investment operations
Net investment income (loss) (.25) (.25) (.24)
Net realized and unrealized gain (loss)
.96 4.91 1.88
Total from investment operations .71 4.66 1.64
Distributions from
Net investment income (2.49) - -
Net realized gain - - (.57)
Total distributions (2.49) - (.57)
Total increase (decrease) in net asset value
(1.78) 4.66 1.07
Net asset value, ending $25.43 $27.21 $22.55
Total return* 3.37% 20.67% 7.92%
Ratios to average net assets:
Net investment income (loss) (1.08%) (1.09%) (1.56%)
Total expenses 1.74% 1.91% 2.16%
Expenses before offsets 1.74% 1.91% 2.16%
Net expenses 1.61% 1.85% 1.98%
Portfolio turnover 77% 126% 114%
Net assets, ending (in thousands) $75,068 $54,751 $39,834
<PAGE>
Financial Highlights
Periods Ended
September 30, September 30, September 30,
Class B Shares 2000 1999 1998 #
Net asset value, beginning $25.46 $25.28 $28.39
Income from investment operations
Net investment income (loss) (.52) (.41) (.16)
Net realized and unrealized gain (loss)
11.04 4.07 (2.95)
Total from investment operations 10.52 3.66 (3.11)
Distributions from
Net realized gain (.51) (3.48) -
Total distributions (.51) (3.48) -
Total increase (decrease) in net asset value
10.01 .18 (3.11)
Net asset value, ending $35.47 $25.46 $25.28
Total return* 41.84% 13.85% (10.95)%
Ratios to average net assets:
Net investment income (loss) (1.88%) (2.11%) (2.62%) (a)
Total expenses 2.49% 2.67% 3.57% (a)
Expenses before offsets 2.49% 2.67% 3.31% (a)
Net expenses 2.30% 2.42% 3.01% (a)
Portfolio turnover 116% 88% 77%
Net assets, ending (in thousands) $16,435 $9,445 $3,311
<PAGE>
Financial Highlights
Years Ended
September 30, September 30,
Class C Shares 2000 1999
Net asset value, beginning $24.76 $24.63
Income from investment operations
Net investment income (loss) (.50) (.51)
Net realized and unrealized gain (loss) 10.73 4.12
Total from investment operations 10.23 3.61
Distributions from
Net realized gain (.51) (3.48)
Total distributions (.51) (3.48)
Total increase (decrease) in net asset value 9.72 .13
Net asset value, ending $34.48 $24.76
Total return* 41.91% 14.02%
Ratios to average net assets:
Net investment income (loss) (1.87%) (2.04%)
Total expenses 2.47% 2.56%
Expenses before offsets 2.47% 2.56%
Net expenses 2.29% 2.35%
Portfolio turnover 116% 88%
Net assets, ending (in thousands) $13,769 $9,021
Years Ended
September 30, September 30, September 30,
Class C Shares 1998 1997 1996
Net asset value, beginning $26.64 $22.34 $21.55
Income from investment operations
Net investment income (loss) (.40) (.47) (.55)
Net realized and unrealized gain (loss)
.88 4.77 1.91
Total from investment operations .48 4.30 1.36
Distributions from
Net investment income - - -
Net realized gain (2.49) - (.57)
Total distributions (2.49) - (.57)
Total increase (decrease) in net asset value
(2.01) 4.30 .79
Net asset value, ending $24.63 $26.64 $22.34
Total return* 2.52% 19.25% 6.56%
Ratios to average net assets:
Net investment income (loss) (1.98%) (2.30%) (2.82%)
Total expenses 2.75% 3.11% 3.42%
Expenses before offsets 2.75% 3.11% 3.42%
Net expenses 2.50% 3.05% 3.24%
Portfolio turnover 77% 126% 114%
Net assets, ending (in thousands) $6,548 $4,184 $3,164
<PAGE>
Financial Highlights
Periods Ended
September 30, September 30,
CLASS I SHARES 2000 1999^
Net asset value, beginning $25.99 $26.18
Income from investment operations
Net investment income (loss) (.12) (.08)
Net realized and unrealized gain (loss) 11.48 (.11)
Total from investment operations 11.36 (.19)
Distributions from
Net realized gain (.51) -
Total distributions (.51) -
Total increase (decrease) in net asset value 10.85 (.19)
Net asset value, ending $36.84 $25.99
Total return* 44.25% (.73%)
Ratios to average net assets:
Net investment income (loss) (0.39%) (.50%) (a)
Total expenses 1.20% 1.24% (a)
Expenses before offsets .86% .85% (a)
Net expenses .80% .80% (a)
Portfolio turnover 116% 88%
Net assets, ending (in thousands) $108 $2,547
(a) Annualized
* Total return does not reflect deduction of any front-end or deferred sales
charge.
# From April 1, 1998 inception.
^ From March 1, 1999 inception.
<PAGE>
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Accumulation
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Calvert Group
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This report is intended to provide fund information to shareholders. It is
not authorized for distribution to
prospective investors unless preceded or accompanied by a prospectus.
Calvert Group's
Family of Funds
Tax-Exempt
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CTFR Money Market Portfolio
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Taxable
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CSIF Balanced Portfolio
Municipal Funds
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National Muni. Intermediate Portfolio
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Taxable Bond Funds
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printed on recycled paper
using soy-based inks
<PAGE>
September 30, 2000
annual
report
Calvert World values
international equity
fund
<PAGE>
Table
of
ContentsPresident's Letter
1
Social Update
2
Portfolio
Manager Remarks
3
Report of Independent Public Accountants
7
Schedule of Investments
8
Statement
of Assets and Liabilities
12
Statement
of Operations
13
Statements
of Changes in
Net Assets
14
Notes to
Financial Statements
16
Financial Highlights
20
Dear Shareholders:
While near-term volatility in equity and bond markets has set a tone of
challenge for investors and fund managers this past year, caution and discipline
remain a keynote of our manager's investment strategies. We are confident that
these will bring their own reward in the long term.
The state of the US economy seems to indicate that we have reason to be
optimistic despite recently falling market indices. For the time being, the
specter of inflation appears to be nothing more than that, and the underlying
economic fundamentals are solid. Indeed, the Fed, which left rates unchanged at
its last meeting, believes that inflation remains under control. Somewhat slower
economic growth will continue to keep prices in check - and there have been
indications of cooling in most traditional sectors of the economy. Therefore,
economic growth is expected to slow in the coming months and year.
Growth in the US economy coupled with price stability will continue to influence
the price and yield of Government bonds. Rising oil prices, temporarily curbed
by the recent decision to release 30m barrels from our Strategic Petroleum
Reserve, would almost certainly push up bond yields.
Also, the decision made by the US, Europe, and Japan to shore up the Euro could
have domestic consequences. While a weaker dollar could mean stronger balance
sheets for multinational companies, the stream of money from Europe into the US
economy could be reversed, adversely affecting equity and corporate bond prices.
Time will tell how events will play out. For the reasonable investor, discipline
and the need to make informed decisions are as important as ever before. As
always, we encourage you to make decisions based on your financial obligations
and tolerance for risk. Your financial professional can suggest strategies that
can keep you on track to meet your objectives.
We appreciate your investment in Calvert Group funds and look forward to working
with you to achieve your financial goals.
Sincerely,
Barbara J. Krumsiek
President and CEO
October 30, 2000
<PAGE>
Social
Update
The Calvert Social Index
As a leader in socially responsible investing we have for some time recognized
the market's need for a passively constructed Index of social companies. In
May, we created the Calvert Social Index , a broad-based, rigorously constructed
benchmark for measuring the performance of the largest of those U.S.-based
companies that meet our social criteria. Now, the real time performance of the
Index is being distributed through the Chicago Board of Trade and is available
through news agencies, financial services companies and brokerage firms.
The Calvert Social Index scrutinizes each of the 1,000 largest companies in the
U.S., representing stocks listed on the NYSE and NASDAQ-AMEX. The Index includes
companies that stand out positively in their environmental policies, actively
hire and promote minorities and women, provide a safe and healthy workplace, and
produce safe and healthy products. By giving the public a closer look at the
social practices of the Index companies, we are providing guidelines and helping
companies strive toward a higher level of social responsibility. To obtain
details on the Calvert Social Index go to www.calvert.com.
www.calvert.com Chosen Among the "Top 20 Best in Mutual Funds" Industry
Our web site has been chosen as one of this year's "Top 20 Web Sites Among
Mutual Funds," according to a study conducted by kasina, LLC, a New York
e-business consulting firm. The study evaluated over 421 mutual fund company Web
sites, noting that "[t]he high point of [Calvert's] site is the Know What You
Own search feature, which allows investors to see the top holdings of a
selected fund and to see their characteristics in terms of ethics and good
corporate citizenship. This is a unique feature not found on any other Web
site." Other notable interactive features that placed us among the top include
the Advisor Finder Service, the Socially Responsible Company Profiles in the
Calvert Social Index, and a SRI Timeline.
<PAGE>
Andrew Preston
of Murray Johnstone International
How did the Fund perform relative to its benchmark?
The year ending September 30, 2000 got off to a strong start but saw those gains
eroded in the correction that markets experienced through 2000. By the end of
the year, the return on the Fund's Class A shares was 3.36%, while the MSCI EAFE
Index returned 3.42%.
What were the driving forces behind market performance in the past 12 months?
The final quarter of 1999 was dominated by preparations for the feared "Y2K".
With concerns that failed computer chips would affect everything from air
traffic control systems to personal stereos, great efforts were taken to ensure
that equipment was able to cope. This led to an investment and retail boom as
old equipment was replaced in the months preceding the end of the year.
The new year opened with markets correcting in several regions. Wall Street
succumbed to the extreme levels of some valuations and the international markets
experienced the same phenomenon. "New economy" stocks focusing on technology,
media and telecommunications (TMT) fell back, but when confidence was restored
these companies led the recovery. However, there were signs late in March that
investors were beginning to realize profits in their TMT stocks and rebalance
their portfolios to include some "old economy" companies that were beginning to
look attractive.
Portfolio Statistics
September 30, 2000
Investment Performance
6 Months 12 Months
ended ended
9/30/00 9/30/00
Class A (12.78%) 3.36%
Class B (13.29%) 2.28%
Class C (13.23%) 2.41%
Class I (12.51%) 4.10%
MSCI EAFE
Index GD (11.60%) 3.42%
Lipper International
Funds Average (12.37%) 10.76%
Ten Largest Stock Holdings
% of Net Assets
Telenorte Leste Participacoes 3.2%
Tomra Systems ASA 2.8%
Telecom Italia Mobile 2.6%
Telefons de Mexico 2.2%
Marsholtek Lauten AG 2.2%
Cap Gemini 2.0%
West Japan Railway Co. 2.0%
Allied Irish Banks plc 1.8%
Elsevier NV 1.7%
Kyocera Corp. 1.7%
Total 22.2%
Asset Allocation
Stocks 82%
Bonds 4%
Cash & Cash Equivalents 14%
100%
Investment performance does not reflect the deduction of any front-end or
deferred sales charge.
GD represents gross dividends.
Source: Lipper Analytical Services, Inc.
<PAGE>
Portfolio Statistics
September 30, 2000
Average Annual Total Returns
Class A Shares
One year (1.53%)
Five year 8.61%
Since inception 8.37%
(7/2/92)
Class B Shares
One year (2.67%)
Since inception 1.97%
(4/1/98)
Class C Shares
One year 1.42%
Five year 8.55%
Since inception 6.41%
(3/1/94)
Class I Shares
One year 4.10%
Since inception 9.15%
(3/1/99)
Mixed messages on growth and interest rates were key features of the second
quarter. For the first time in several months a cooling of activity in the US
economy allowed the Federal Reserve Board to leave rates unchanged in June,
after raising them in May. With growth in Europe picking up, analysts increased
their forecasts for GDP for 2000 from 2.5% to 3.5%.
The third quarter saw a sharp correction in the international markets
precipitated by the runaway price of oil which at one point threatened to breach
$40 per barrel. The high level of global activity and demand drove the price
increase at a time when supply was tight -- with implications for markets and
financial assets. Most importantly, global liquidity deteriorated as more funds
were channeled to the oil producing nations. As manufacturers attempted to pass
on the higher costs to customers, the threat of inflation increased.
With the peak in global activity, the third quarter saw an increase in the
number of
Performance Comparison
Comparison of change in value of $10,000 investment. (Source: Lipper Analytical
Services, Inc.)
[INSERT LINE GRAPH HERE]
Total returns assume reinvestment of dividends and reflect the deduction of the
Fund's maximum front-end or deferred sales charge. No sales charge has been
applied to the index used for comparison. The value of an investment in Class A
shares is plotted in the line graph. The value of an investment in another Class
of shares would be different. Past performance is no guarantee of future
results.
<PAGE>
companies posting warnings on earnings that sent shudders through the entire
sector. Although activity and earnings remain positive, optimism was dented and
companies from telephone operators and infrastructure suppliers to component
makers saw their share prices drop.
Also in the background, throughout this period, was the continuing decline of
the Euro, caused by unusually large portfolio flows and direct investment in US
assets by companies in the Euro bloc. These flows were running at record levels
and caused a massive impact as Euros were sold for dollars. Through most of the
year, the European Central Bank remained calm about the decline, looking to the
comparative advantage that accrued from the lower currency versus the dollar.
However, concern mounted as the lower currency, combined with the high oil
price, began to put pressure on inflation. In addition, there was intervention
to support the Euro in late September.
What was your investment strategy during the period?
We invested in quality companies with sound earnings streams, but that did not
insulate us from the increased level of volatility in the market. At times like
this, developing a medium-term strategy for investment - and sticking to it - is
critical. Having already reduced the Portfolio's exposure to telecom companies,
we implemented a modest switch from Europe into Japan, bringing that exposure
closer to the Index weight and taking advantage of the weak prices experienced
during the quarter. Our intention is to build up Japanese exposure further now
that the economy is recovering. During the past year, Portfolio exposure to
emerging markets concentrated on Latin America, the best performing region
Portfolio Statistics
Country Allocation
% of Equity Securities
9/30/00 9/30/99
Argentina - 1.0%
Australia 1.5% 1.6%
Belgium 1.2% --
Brazil 5.7% 2.0%
Costa Rica - 0.1%
Denmark 1.4% 1.4%
Finland 1.6% -
France 9.4% 11.8%
Germany 6.0% 7.7%
Hong Kong 2.3% 1.0%
Ireland 2.2% 2.0%
Italy 6.9% 6.3%
Japan 29.3% 31.2%
Mexico 2.9% 2.2%
Netherlands 5.9% 8.3%
New Zealand 0.4% 1.2%
Norway 3.5% 1.3%
Singapore 1.6% 1.3%
South Africa 0.1% 1.1%
Spain 4.2% 1.8%
Sweden 0.8% 1.9%
Switzerland 1.9% 2.1%
U.K. 9.4% 12.1%
U.S. 1.8% 0.6%
100% 100%
<PAGE>
Portfolio Statistics
September 30, 2000
Portfolio Characteristics
(Equity Holdings, excluding Special Equities)
International MSCI
Equity EAFE
Fund index
Number of Stocks 69 923
Median Market
Capitalization ($bil) 17.24 N/A
(by portfolio weight)
Price/Earnings
Ratio 29.39 29.24
Yield 1.53% 1.73%
(return on capital investment)
Volatility Measure
International MSCI
Equity EAFE
Fund index
Beta1 1.04 0.98
1Measure of volatility compared to the S&P 500 Stock Index (S&P 500) beta of 1
The higher the beta, the higher the risk and potential reward.
Source: Vestek, Inc.
on a relative basis, and we avoided some of the telephone companies that
suffered severe corrections during the quarter.
What is your outlook for the next 12 months?
After a buoyant end to 1999, 2000 has been a year of substantial adjustment in
the international markets. Many of the fundamental variables have been stacked
against strong performance. There are signs, however, that some of these are
beginning to turn. With agreement from the OPEC countries to lift production the
price of oil has been reduced. This will ease pressure on costs and earnings
while stability of the Euro will help to re-establish confidence in Europe.
Intervention has had an initial impact on the currency but it will take time to
gauge whether a reversal to the weak trend can be achieved. What is clear is
that the interest rate outlook has improved so the focus of investors is likely
to remain on earnings. With a lot of "bad news" in share prices, the
probability of a rebound has become more likely as has the attractiveness of
buying at these levels.
October 30, 2000
<PAGE>
Report of Independent Public Accountants
To the Board of Directors of Calvert World Values Fund, Inc. and Shareholders of
International Equity Fund:
We have audited the accompanying statement of net assets of International Equity
Fund, (one of the portfolios comprising The Calvert World Values Fund, hereafter
referred to as the "Fund"), as of September 30, 2000, and the related statement
of operations, the statement of changes in net assets, and the financial
highlights for the year then ended. These financial statements and financial
highlights are the responsibility of the Fund's management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audit. The statement of changes in net assets for the year ended
September 30, 1999 and the financial highlights for each of the four years in
the period ended September 30, 1999 of the Fund, were audited by other auditors,
whose report dated November 10, 1999, expressed an unqualified opinion on those
statements.
We conducted our audit in accordance with auditing standards generally accepted
in the United States. Those standards require that we plan and perform the audit
to obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements and financial highlights. Our procedures included
confirmation of securities owned as of September 30, 2000, by correspondence
with the custodian. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
International Equity Fund as of September 30, 2000, the results of its
operations, the changes in its net assets, and the financial highlights for the
year then ended, in conformity with accounting principles generally accepted in
the United States.
ARTHUR ANDERSEN LLP
Philadelphia, Pennsylvania
November 15, 2000
<PAGE>
Schedule Of Investments
September 30, 2000
Equity Securities - 81.6% Shares Value
Australia - 1.2%
National Australia Bank, Ltd. * 137,000 $1,893,123
Qantas Airways, Ltd. 675,000 1,300,728
3,193,851
Belgium - 1.0%
Fortis, Inc. 85,713 2,639,847
Brazil - 4.7%
Telenorte Leste Participacoes (ADR) 368,840 8,432,640
Unibanco - Uniao De Bancos Brasileiros 120,000 3,960,000
12,392,640
Denmark - 1.1%
Novo-Nordisk As B 13,648 3,029,908
Finland - 1.3%
Nokia OY - AB 59,048 2,396,273
Sonera OYJ 42,818 1,089,803
3,486,076
France - 7.7%
Banque National de Paris * 39,813 3,514,955
Cap Gemini Ernst & Young Group 28,814 5,423,910
Compagnie Financiere Alcatel 31,412 2,012,625
Legrand 15,751 2,589,109
Pinault-Printemps 15,000 2,644,621
Vivendi 56,437 4,199,575
20,384,795
Germany - 4.9%
ADVA AG Optical Networking, Inc.* 15,371 1,460,293
Dresdner Bank AG 73,953 3,253,419
Linde AG 64,582 2,587,179
Marschollek Lauten AG 38,288 5,752,292
13,053,183
Hong Kong - 1.9%
Sun Hung Kai Properties, Ltd. 283,000 2,667,928
Swire Pacific, Ltd. 386,000 2,406,157
5,074,085
Ireland - 1.8%
Allied Irish Banks plc 436,630 4,769,374
<PAGE>
Equity Securities - Cont'd Shares Value
Italy - 5.7%
Riunione Adriatica di Sicurta S.p.A. 289,360 $3,810,255
Telecom Italia 795,700 4,345,774
Telecom Italia Mobile 846,491 6,852,470
15,008,499
Japan - 23.9%
Amada Co., Ltd. 380,000 3,153,600
Canon Sales Co., Inc. 186,000 3,026,844
Fuji Machine Mfg., Co. 69,000 2,463,257
Fuji Photo Film Co., Ltd. 118,000 3,960,870
Fujitsu, Ltd. 156,000 3,630,766
Kyocera Corp. 29,000 4,436,923
Matsushita Communication Industrial Co., Ltd. 26,000 3,522,277
Murata Manufacturing Co., Ltd. 27,000 3,730,354
NSK Co., Ltd. 385,000 2,745,283
NTT Mobile Communications Network, Inc. 134 3,851,824
Omron Corp. 158,000 4,168,112
Secom Co., Ltd. 58,000 4,028,930
Sony Corp. 34,000 3,455,329
Sumitomo Bank, Ltd. 318,000 4,039,687
T.D.K. Corp. 36,000 3,938,059
West Japan Railway Co. 1,151 5,325,690
Yamanouchi Pharmaceutical Co., Ltd. 82,000 3,953,823
63,431,628
Mexico - 2.4%
Grupo Industrial Durango, (ADR) * 55,559 402,802
Telefonos de Mexico, (ADR) 110,000 5,850,625
6,253,427
Netherland - 4.8%
Aegon NV 85,053 3,213,328
Elsevier NV 413,943 4,645,940
Philips Electronics NV 77,702 3,348,993
Vedior NV * 113,593 1,656,399
12,864,660
New Zealand - 0.3%
Telecom Corporation of New Zealand, Ltd. 360,000 898,134
Norway - 2.8%
Tomra Systems ASA 228,866 7,530,478
Singapore - 1.3%
City Developments 473,000 2,311,761
Overseas-Chinese Banking Corp., Ltd. 189,000 1,195,412
3,507,173
South Africa - 0.1%
Community Growth Fund 815,755 258,417
<PAGE>
Equity Securities - Cont'd Shares Value
Spain - 3.5%
Bilbao - Vizcaya International Fund 253,671 $ 3,837,991
Gas Natural SDG, S.A. 139,722 2,332,524
Telefonica, S.A. 151,263 3,001,086
9,171,601
Sweden - 0.6%
SKF Series B 127,806 1,661,545
Switzerland - 1.5%
Zurich Allied AG 8,709 4,032,388
United Kingdom - 7.7%
Autonomy Corp. plc* 53,820 3,013,920
Bellway plc 56,440 208,673
Cadbury Schweppes plc 150,000 887,340
CGNU plc* 143,808 2,041,706
Energis plc* 150,000 1,060,372
Firstgroup plc 187,500 604,500
Johnson Matthey plc 285,400 3,988,639
Mayflower Corp. plc 209,200 266,072
Northern Rock plc 100,000 584,166
Pearson plc 101,818 2,829,374
Quadrant Healthcare plc * 200,000 84,297
Smithkline Beecham plc 246,700 3,380,287
Vodafone Group plc* 402,500 1,503,025
20,452,371
United States - 1.4%
Calypte Biomedical Corp., Series E (Preferred) # * 50,000 114,063
Northern Power Systems, Series C (Preferred) # * 160,000 200,000
Powerspan Corp. # * 40,000 200,000
Pro Fund International # * 2,501 2,501
ProFund Internacional (Preferred) # * 247,499 247,499
Proton Energy Systems, Inc., Series A (Preferred# *
227,273 795,456
Proton Energy Systems, Inc., Series B (Preferred) # *
60,183 210,641
Proton Energy Systems, Inc., Series C (Preferred) # *
130,875 458,062
R. F. Technology, Inc., Series A (Preferred) # * 38,460 249,990
SEAF Central & Eastern European Growth Fund # * 200,000 200,000
SMARTTHINKING, Inc. # * 424,016 250,000
Soluz, Inc. # * 10,250 102,500
Soluz, Inc., Warrants Exp 6/1/04 # * 3,125 -
Terra Capital Investments, Inc. # * 129,800 98,963
Wellspring International, Inc. Series A (Preferred) # *
129,032 200,038
Zero Emissions Tech, Inc., Series A (Preferred) # *
90,909 454,545
3,784,258
Total Equity Securities (Cost $174,160,266) 216,878,338
Principal
Corporate Notes - 0.1% Amount
Mayer Laboratories, Inc., 6.00%, 12/31/01(Convertible Note) #
$150,000 $150,000
Soluz Dominicana, Inc., 9.00%, 8/9/02 # 150,000 110,000
Total Corporate Notes (Cost $260,000) 260,000
<PAGE>
Principal
High Social Impact Investments - 1.3% Amount Value
Accion International Corp., 4.00%, 9/30/04 # $100,000 $99,941
Calvert Foundation Community Investment Note, 3.00%, 7/1/01 #
910,000 863,381
Catholic Relief Services, 4.50%, 9/30/03 # 250,000 249,853
Ecumenical Development Corp., 4.00%, 12/31/02 # 150,000 146,633
Enterprise Loan Fund, 4.00%, 1/12/01 # 100,000 98,002
Foundation For International Community Assistance, 3.50%, 4/30/01 #
150,000 144,300
Freedom From Hunger, 4.50%, 6/28/04 # 100,000 95,698
Greater New Haven Community Loan Fund, 4.50%,10/31/00 #
75,000 74,487
Impact Seven, Inc., 4.50%, 9/30/01 # 300,000 299,835
Latin American Challenge Investment Fund, 4.00%, 9/30/02 #
200,000 199,882
Mennonite Economic Development Association, 4.00%, 3/31/01 #
200,000 192,852
New Mexico Community Loan Fund, 4.00%, 7/15/01 # 200,000 190,786
Program for Appropriate Technology and Health, 4.00%, 3/31/03 #
300,000 289,278
Shared Interest, 3.00%, 9/30/02 # 150,000 149,901
Societe D'Investissement et de Developpement International,
4.00%, 12/31/00 # 250,000 245,192
Total High Impact Social Investment (Cost $3,435,000) 3,340,021
Taxable Variable Rate Demand Notes - 1.9%
Pensacola POB, Inc., 6.20%, 10/1/15 5,100,000 5,100,000
Total Taxable Variable Rate Demand Notes (Cost $5,100,000) 5,100,000
Certificates Of Deposit - 0.2%
Banco Solidario Co., 8.47%, 9/30/01 # 53,819 53,491
Self Help Credit Union, 6.30%, 2/23/01 # 200,000 200,000
South Shore Bank, 6.30%, 2/8/01 # 200,000 199,129
Total Certificates of Deposit (Cost $453,819) 452,620
TOTAL INVESTMENTS (Cost $183,409,085 ) - 85.1% 226,030,979
Other assets and liabilities, net - 14.9% 39,582,694
Net Assets - 100% $265,613,673
Underlying Unrealized
# of Expiration Face Amount Appreciation Initial
Futures Contracts Date at Value (Depreciation) Margin
Purchased:
DJ EURO STXX
50 P Index 250 12/00 $10,952,223 $18,522 $551,249
FTSE EUROTOP
100 Index 150 12/00 14,045,782 50,222 773,325
Abbreviations:
ADR: American Depository Receipt
* Non-income producing.
# This security was valued by the Board of Directors. See Note A.
Restricted securities represents 3.0% of net assets of the Fund.
See notes to financial statements.
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES
SEPTEMBER 30, 2000
ASSETS VALUE
Investments in securities, at value - see accompanying schedule $226,030,979
Cash 3,919,974
Receivable for securities sold 29,978,642
Receivable for foreign currency sold 9,513,287
Receivable for shares sold 7,855,335
Dividends and interest receivable 536,619
Dividend reclaim receivable 220,793
Other assets 85,987
Total assets 278,141,616
LIABILITIES
Payable for foreign currency purchased 9,535,506
Payable for shares redeemed 2,428,278
Payable to Calvert Asset Management, Inc. 238,234
Payable to Calvert Administrative Service Company 74,462
Payable to Calvert Shareholder Services, Inc. 11,368
Payable to Calvert Distributors, Inc. 62,519
Accrued expenses and other liabilities 177,576
Total liabilities 12,527,943
Net Assets $265,613,673
NET ASSETS CONSIST OF:
Paid-in capital applicable to the following shares of common stock with
250,000,000 shares of $0.01 par value share authorized for
Classes A, B, C and I combined:
Class A : 10,964,187 shares outstanding $181,864,963
Class B : 263,072 shares outstanding 5,748,850
Class C : 551,245 shares outstanding 10,208,321
Class I : 459,157 shares outstanding 10,624,510
Undistributed net investment income (loss) (274,591)
Accumulated net realized gain (loss) on investments
and foreign currencies 14,597,194
Net unrealized appreciation (depreciation) on investments
and assets and liabilities in foreign currencies 42,844,426
Net Assets $265,613,673
NET ASSET VALUE PER SHARE
Class A (based on net assets of $238,644,838) $21.77
Class B (based on net assets of $5,576,966) $21.20
Class C (based on net assets of $11,277,605) $20.46
Class I (based on net assets of $10,114,264) $22.03
See notes to financial statements.
<PAGE>
Statement of Operations
Year Ended September 30, 2000
Net Investment Income
Investment Income:
Dividend income (net of foreign taxes withheld of $501,875) $3,486,684
Interest income 909,466
Total investment income 4,396,150
Expenses:
Investment advisory fee 2,055,158
Transfer agency fees and expenses 616,506
Distribution Plan expenses:
Class A 626,557
Class B 47,825
Class C 113,732
Directors' fees and expenses 42,448
Administrative fees 972,427
Custodian fees 392,561
Registration fees 61,937
Reports to shareholders 97,376
Professional fees 26,089
Miscellaneous 36,803
Total expenses 5,089,419
Reimbursement from Advisor:
Class I (12,155)
Fees paid indirectly (206,055)
Net expenses 4,871,209
Net Investment Income (Loss) (475,059)
Realized and Unrealized Gain (Loss) on Investments
Net realized gain (loss) on:
Investments 20,307,343
Foreign currency transactions (352,794)
Futures (248,358)
19,706,191
Change in unrealized appreciation or (depreciation) on:
Investments and foreign currencies (9,927,763)
Assets and liabilities denominated in foreign currencies 136,922
Futures 70,939
(9,719,902)
Net Realized and Unrealized Gain
(Loss) 9,986,289
Increase (Decrease) in Net Assets
Resulting From Operations $9,511,230
See notes to financial statements.
<PAGE>
Statements of Changes in Net Assets
Year Ended Year Ended
September 30, September 30,
Increase (Decrease) in Net Assets 2000 1999
Operations:
Net investment income (loss) ($475,059) ($2,348)
Net realized gain (loss) 19,706,191 8,165,911
Change in unrealized appreciation or (depreciation)
(9,719,902) 47,554,979
Increase (Decrease) in Net Assets
Resulting From Operations 9,511,230 55,718,542
Distributions to shareholders from
Net investment income:
Class A Shares - (743,656)
Net realized gain:
Class A Shares (10,049,953) (16,205,133)
Class B Shares (159,824) (110,135)
Class C Shares (453,617) (710,924)
Class I Shares (143,171) -
Total distributions (10,806,565) (17,769,848)
Capital share transactions:
Shares sold:
Class A Shares 268,717,305 109,618,536
Class B Shares 3,224,514 2,196,322
Class C Shares 4,948,433 1,906,038
Class I Shares 11,029,490 2,910,264
Reinvestment of distributions:
Class A Shares 9,181,315 15,533,502
Class B Shares 143,029 97,140
Class C Shares 426,908 671,801
Class I Shares 63,006 -
Shares redeemed:
Class A Shares (270,916,943) (124,838,113)
Class B Shares (643,452) (282,393)
Class C Shares (3,554,278) (2,236,036)
Class I Shares (3,141,060) (208,990)
Total capital share transactions 19,478,267 5,368,071
Total Increase (Decrease) in Net Assets 18,182,932 43,316,765
Net Assets
Beginning of year 247,430,741 204,113,976
End of year (including undistributed net investment
income (loss) of ($274,591) and $0, respectively)
$265,613,673 $247,430,741
See notes to financial statements.
<PAGE>
Statements of Changes in Net Assets
Year Ended Year Ended
September 30, September 30,
Capital Share Activity 2000 1999
Shares sold:
Class A Shares 11,397,966 5,267,611
Class B Shares 139,874 106,178
Class C Shares 225,156 96,208
Class I Shares 456,443 146,520
Reinvestment of distributions:
Class A Shares 376,742 777,387
Class B Shares 5,977 4,884
Class C Shares 18,505 35,100
Class I Shares 2,568 -
Shares redeemed:
Class A Shares (11,386,903) (5,978,314)
Class B Shares (28,059) (13,370)
Class C Shares (162,177) (112,670)
Class I Shares (136,515) (9,859)
Total capital share activity 909,577 319,675
See notes to financial statements.
<PAGE>
Notes to Financial Statements
Note A - Significant Accounting Policies
General: The Calvert World Values International Equity Fund (the "Fund"), a
series of Calvert World Values Fund, Inc., is registered under the Investment
Company Act of 1940 as a diversified, open-end management investment company.
The operation of each series is accounted for separately. The Fund offers four
classes of shares of capital stock. Class A shares are sold with a maximum
front-end sales charge of 4.75%. Class B shares are sold without a front-end
sales charge. With certain exceptions, the Fund will impose a deferred sales
charge at the time of redemption, depending on how long you have owned the
shares. Class C shares are sold without a front-end sales charge. With certain
exceptions, the Fund will impose a deferred sales charge on shares sold within
one year of purchase. Class B and Class C shares have higher levels of expenses
than Class A shares. Class I shares require a minimum account balance of
$1,000,000. Class I shares have no front-end or deferred sales charge. Each
class has different: (a) dividend rates, due to differences in Distribution Plan
expenses and other class-specific expenses, (b) exchange privileges and (c)
class-specific voting rights.
Security Valuation: Securities listed or traded on a national securities
exchange are valued at the last reported sale price. Unlisted securities and
listed securities for which the last sale price is not available are valued at
the most recent bid price or based on a yield equivalent obtained from the
securities' market maker. Foreign security prices, furnished by quotation
services in the security's local currency, are translated using the current U.S.
dollar exchange rate. The Fund may invest in securities whose resale is subject
to restrictions. Investments for which market quotations are not available or
deemed inappropriate are valued in good faith under the direction of the Board
of Directors.
In determining fair value, the Board considers all relevant qualitative and
quantitative information available. These factors are subject to change over
time and are reviewed periodically. The values assigned to fair value
investments are based on available information and do not necessarily represent
amounts that might ultimately be realized, since such amounts depend on future
developments inherent in long-term investments. Further, because of the inherent
uncertainty of valuation, those estimated values may differ significantly from
the values that would have been used had a ready market for the investments
existed, and the differences could be material.
At September 30, 2000, $7,836,899, or 3.0% of net assets, were valued by the
Board of Directors.
Futures Contracts: The Fund may enter into futures contracts agreeing to buy or
sell a financial instrument for a set price at a future date. The Fund maintains
securities with a value equal to its obligation under each contract. Initial
margin deposits of either cash or securities are made upon entering into
futures contracts; thereafter, variation margin payments are made or received
daily reflecting the change in market value. Unrealized or realized gains and
losses are recognized based on the change in market value.
Risks of futures contracts arise from the possible illiquidity of the futures
Markets and the movement in the value of the investment or in interest rates.
<PAGE>
Security Transactions and Investment Income: Security transactions are accounted
for on trade date. Realized gains and losses are recorded on an identified cost
basis. Dividend income is recorded on the ex-dividend date or, in the case of
dividends on certain foreign securities, as soon as the Fund is informed of the
ex-dividend date. Interest income, accretion of discount and amortization of
premium are recorded on an accrual basis. Investment income and realized and
unrealized gains and losses are allocated to separate classes of shares based
upon the relative net assets of each class. Expenses arising in connection with
a class are charged directly to that class. Expenses common to the classes are
allocated to each class in proportion to their relative net assets.
Foreign Currency Transactions: The Fund's accounting records are maintained in
U. S. dollars. For valuation of assets and liabilities on each date of net asset
value determination, foreign denominations are converted into U.S. dollars
using the current exchange rate. Security transactions, income and expenses
are translated at the prevailing rate of exchange on the date of the event.
The effect of changes in foreign exchange rates on securities is included in
the net realized and unrealized gain or loss on securities.
Distributions to Shareholders: Distributions to shareholders are recorded by the
Fund on ex-dividend date. Dividends from net investment income and distributions
From net realized capital gains, if any, are paid at least annually
Distributions are determined in accordance with income tax regulations
which may differ from generally accepted accounting principles; accordingly,
periodic reclassifications are made within the Fund's capital accounts to
reflect income and gains available for distribution under income tax
regulations.
Estimates: The preparation of the financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the reported
period. Actual results could differ from those estimates.
Expense Offset Arrangement: The Fund has an arrangement with its custodian bank
whereby the custodian's and transfer agent's fees may be paid indirectly by
credits earned on the Fund's cash on deposit with the bank. Such a deposit
arrangement is an alternative to overnight investments.
Federal Income Taxes: No provision for federal income or excise tax is required
since the Fund intends to continue to qualify as a regulated investment company
under the Internal Revenue Code and to distribute substantially all of its
taxable earnings.
<PAGE>
Note B - Related Party Transactions
Calvert Asset Management Company, Inc. (the "Advisor") is wholly-owned by
Calvert Group, Ltd. ("Calvert"), which is indirectly wholly owned by Ameritas
Acacia Mutual Holding Company. The Advisor provides investment advisory services
and pays the salaries and fees of officers and affiliated Directors of the Fund.
For its services, the Advisor receives a monthly fee based on the following
annual rates of average daily net assets: .75% on the first $250 million, .725%
on the next $250 million and .675% on the excess of $500 million.
The Advisor contractually reimbursed the Fund for expenses of $12,155 for the
year ended September 30, 2000.
Calvert Distributors, Inc., an affiliate of the Advisor, is the distributor and
principal underwriter for the Fund. Distribution Plans, adopted by Class A,
Class B and Class C shares, allow the Fund to pay the Distributor for expenses
and services associated with distribution of shares. The expenses paid may not
exceed .35%, 1.0% and 1.0% annually of average daily net assets of each Class A,
Class B and Class C shares, respectively. Class I shares do not have
Distribution Plan expenses.
The Distributor received $104,321 as its portion of commissions charged on sales
of the Fund's shares for the year ended September 30, 2000.
Calvert Shareholder Services, Inc. ("CSSI"), an affiliate of the Advisor, is the
shareholder servicing agent for the Fund. For its services, CSSI received a fee
of $149,178 for the year ended September 30, 2000. National Financial Data
Services, Inc., is the transfer and dividend disbursing agent.
Calvert Administrative Services Company, an affiliate of the Advisor, provides
administrative services to the Fund for an annual fee, payable monthly, of .35%
for Class A, Class B and Class C shares and .15% for Class I shares, based on
their average daily net assets.
The Fund invests in Community Investment Notes issued by the Calvert Social
Investment Foundation (the "CSI Foundation"). The CSI Foundation is a 501(c)(3)
non-profit organization that receives in-kind support from the Calvert Group,
Ltd. and its subsidiaries. The Fund has received from the Securities and
Exchange Commission a "no-action" letter permitting the Fund to make investments
in these notes under certain conditions, such conditions of which are being met.
The CSI Foundation provided certain administrative services to the Fund. These
services included a due diligence review for each potential organization which
is being considered for a high social impact investment ("HSI investment"). The
services also included an annual review thereafter, investment monitoring,
quarterly reporting to the Fund Board, notification of any event of information
that may affect the value of an investment, and other incidental services. For
providing such services, the CSI Foundation received an annual fee, paid
quarterly of 1.00% of the Fund's average daily net assets invested in HSI
investments. As of July 1, 2000, the Fund no longer pays any fees to the CSI
Foundation.
Each Director of the Fund who is not affiliated with the Advisor receives an
annual fee of $4,000 plus $1,000 for each Board and Committee meeting attended.
Additional fees of
<PAGE>
up to $10,000 annually may be paid to the Chairperson of special committees of
the Board. Director's fees are allocated to each of the funds in the series
served.
Note C - Investment Activity
During the year, purchases and sales of investments, other than short-term
securities, were $190,974,249 and $219,581,281, respectively.
The cost of investments owned at September 30, 2000 was substantially the same
for federal income tax and financial reporting purposes. Net unrealized
appreciation aggregated $42,621,894, of which $50,999,081 related to appreciated
securities and $8,377,187 related to depreciated securities.
Note D - Line of Credit
A financing agreement is in place with all Calvert Group Funds (except for the
Calvert Social Investment Fund Managed Index, CVS Ameritas Index 500 and Calvert
Social Index Fund) and State Street Bank and Trust Company ("the Bank"). Under
the agreement, the Bank is providing an unsecured line of credit facility, in
the aggregate amount of $50 million ($25 million committed and $25 million
uncommitted), to be accessed by the Funds for temporary or emergency purposes
only. Borrowings under this facility bear interest at the overnight Federal
Funds Rate plus .50% per annum. A commitment fee of .10% per annum will be
incurred on the unused portion of the committed facility which will be allocated
to all participating funds. The Fund had no loans outstanding pursuant to this
line of credit at September 30, 2000.
Change in Independent Auditor
In September 2000, PricewaterhouseCoopers LLP (PricewaterhouseCoopers) resigned
in the normal course of business as independent auditor for the Calvert Group
Funds. Arthur Andersen LLP (Arthur Andersen) was selected as the Fund's
independent auditor. The Funds' selection of Arthur Andersen as its independent
auditor was recommended by the Fund's audit committee and was approved by the
Fund's Board of Directors.
The reports on the financial statements audited by PricewaterhouseCoopers for
the years ended September 30, 1999 and prior for the Funds did not contain an
adverse opinion or a disclaimer of opinion, and were not qualified or modified
as to uncertainty, audit scope or accounting principles. There were no
disagreements between the Funds and PricewaterhouseCoopers on any matter of
accounting principles or practices, financial statement disclosure, or auditing
scope or procedures, which disagreements, if not resolved to the satisfaction of
PricewaterhouseCoopers would have caused it to make reference to the subject
matter of the disagreements in connection with its reports on the financial
statements of such years.
Tax Information (Unaudited)
The Fund designates $1,006,565 as 20% capital gain dividends paid during the
taxable year ended September 30, 2000.
<PAGE>
Financial Highlights
Years Ended
September 30, September 30,
Class A Shares 2000 1999
Net asset value, beginning $21.89 $18.57
Income from investment operations
Net investment income (loss) (.03) .01
Net realized and unrealized gain (loss) .87 4.94
Total from investment operations .84 4.95
Distributions from
Net investment income - (.07)
Net realized gains (.96) (1.56)
Total distributions (.96) (1.64)
Total increase (decrease) in net asset value (.12) 3.32
Net asset value, ending $21.77 $21.89
Total return* 3.36% 27.53%
Ratios to average net assets:
Net investment income (loss) (.15%) .04%
Total expenses 1.81% 1.87%
Expenses before offsets 1.81% 1.87%
Net expenses 1.73% 1.83%
Portfolio turnover 76% 82%
Net assets, ending (in thousands) $238,646 $231,516
Years Ended
September 30, September 30, September 30,
Class A Shares 1998 1997 1996
Net asset value, beginning
$22.06 $18.62 $17.62
Income from investment operations
Net investment income .06 .10 .04
Net realized and unrealized gain (loss)
(2.11) 3.81 1.53
Total from investment operations
. (2.05) 3.91 1.57
Distributions from
Net investment income (.06) (.05) (.13)
Net realized gains (1.38) (.42) (.44)
Total distributions (1.44) (.47) (.57)
Total increase (decrease) in net asset value
(3.49) 3.44 1.00
Net asset value, ending $18.57 $22.06 $18.62
Total return* (9.29%) 21.44% 9.22%
Ratios to average net assets:
Net investment income (loss)
.27% .51% .23%
Total expenses 1.86% 1.91% 1.95%
Expenses before offsets 1.86% 1.91% 1.95%
Net expenses 1.80% 1.76% 1.81%
Portfolio turnover 84% 58% 96%
Net assets, ending (in thousands)
$195,192 $225,169 $194,032
<PAGE>
Financial Highlights
Periods Ended
September 30, September 30, September 30,
Class B Shares 2000 1999 1998^
Net asset value, beginning
$21.56 $18.48 $21.83
Income from investment operations
Net investment income (loss)
(.23) (.15) (.05)
Net realized and unrealized gain (loss)
.83 4.79 (3.30)
Total from investment operations
.60 4.64 (3.35)
Distributions from:
Net realized gains (.96) (1.56) --
Total distributions (.96) (1.56) --
Total increase (decrease) in net asset value
(.36) 3.08 (3.35)
Net asset value, ending $21.20 $21.56 $18.48
Total return* 2.28% 25.84% (15.35%)
Ratios to average net assets:
Net investment income (loss)
(1.29%) (1.20%) (.99%)(a)
Total expenses 3.04% 3.62% 6.11%(a)
Expenses before offsets 3.04% 3.20% 3.22%(a)
Net expenses 2.96% 3.16% 3.16%(a)
Portfolio turnover 76% 82% 84%
Net assets, ending (in thousands)
$5,577 $3,133 $879
<PAGE>
Financial Highlights
Years Ended
September 30, September 30,
Class C Shares 2000 1999
Net asset value, beginning $20.81 $17.83
Income from investment operations
Net investment income (loss) (.22) (.17)
Net realized and unrealized gain (loss) .83 4.71
Total from investment operations .61 4.54
Distributions from:
Net realized gains (.96) (1.56)
Total distributions (.96) (1.56)
Total increase (decrease) in net asset value (.35) 2.98
Net asset value, ending $20.46 $20.81
Total return* 2.41% 26.25%
Ratios to average net assets:
Net investment income (loss) (1.06%) (.92%)
Total expenses 2.75% 2.83%
Expenses before offsets 2.75% 2.83%
Net expenses 2.67% 2.80%
Portfolio turnover 76% 82%
Net assets, ending (in thousands) $11,278 $9,777
Years Ended
September 30, September 30, September 30,
Class C Shares 1998 1997 1996
Net asset value, beginning
$21.39 $18.20 $17.28
Income from investment operations
Net investment income (loss)
(.13) (.07) (.15)
Net realized and unrealized gain (loss)
(2.05) 3.68 1.51
Total from investment operations
. (2.18) 3.61 1.36
Distributions from
Net realized gains (1.38) (.42) (.44)
Total distributions (1.38) (.42) (.44)
Total increase (decrease) in net asset value
(3.56) 3.19 .92
Net asset value, ending $17.83 $21.39 $18.20
Total return* (10.22%) 20.22% 8.07%
Ratios to average net assets:
Net investment income (loss)
(.79%) (.42%) (.88%)
Total expenses 2.91% 2.91% 3.08%
Expenses before offsets 2.91% 2.91% 3.08%
Net expenses 2.85% 2.76% 2.93%
Portfolio turnover 84% 58% 96%
Net assets, ending (in thousands)
$8,043 $8,799 $6,779
<PAGE>
Financial Highlights
Periods Ended
September 30, September 30,
Class I Shares 2000 1999#
Net asset value, beginning $21.99 $19.91
Income from investment operations
Net investment income .16 .15
Net realized and unrealized gain (loss) .84 1.93
Total from investment operations 1.00 2.08
Distributions from:
Net realized gains (.96) -
Total distributions (.96) -
Total increase (decrease) in net asset value .04 2.08
Net asset value, ending $22.03 $21.99
Total return* 4.10% 10.45%
Ratios to average net assets:
Net investment income (loss) .90% 1.19% (a)
Total expenses 1.28% 1.53% (a)
Expenses before offsets 1.12% 1.09% (a)
Net expenses 1.05% 1.05% (a)
Portfolio turnover 76% 82%
Net assets, ending (in thousands) $10,114 $3,006
(a) Annualized
* Total return is not annualized for periods less than one year and does not
reflect deduction of any front-end or deferred sales charge.
^ From April 1, 1998 inception.
# From March 1, 1999 inception.
<PAGE>
This Page Intentionally Left Blank
<PAGE>
Calvert World Values International Equity Fund
To Open an Account
800-368-2748
Yields and Prices
Calvert Information Network
(24 hours, 7 days a week)
800-368-2745
Service for Existing Account
Shareholders: 800-368-2745
Brokers: 800-368-2746
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800-541-1524
Branch Office
4550 Montgomery Avenue
Suite 1000 North
Bethesda, Maryland 20814
Registered, Certified
or Overnight Mail
Calvert Group
c/o NFDS
330 West 9th Street
Kansas City, MO 64105
Web Site
http://www.calvert.com
Principal Underwriter
Calvert Distributors, Inc.
4550 Montgomery Avenue
Suite 1000 North
Bethesda, Maryland 20814
This report is intended to provide fund information to shareholders. It is
not authorized for distribution to prospective investors unless preceded or
accompanied by a prospectus.
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New Vision Small Cap Fund
New Africa Fund
Calvert Social Index Fund
printed on recycled paper
using soy-based inks
